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An article in The New York Times(18 October 1990) described a successful marketing campaign by the French champagne industry. The article also noted:'Many executives felt

An article in The New York Times(18 October 1990) described a successful marketing campaign by the French champagne industry. The article also noted:'Many executives felt giddy about the stratospheric champagne prices. But they also feared that such sharp price increases would cause demand to decline, which would then cause prices to plunge.'What mistake are the executives making in their analysis of the situation? Illustrate your answer with a graph.

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